France offers Tesla a nuclear-site location for plant image

As Tesla is looking to expand its output in Europe, France suggested Tesla to build its plant on the site of the country’s oldest nuclear reactor.

Tesla is targeting the sky with its electric-lineup and the latest hype around Model 3 may by a proof that Elon Musk is not so overoptimistic in his goals as many analysts say. However, there still is a long way to go until the company will reach its desired 500,000 units in terms of production by 2020. By then, Tesla needs to expand its output capacity and Europe is the right place to start the expansion plan. Musk said in February that he wanted to build a factory in the region and mentioned Alsace in a video published by the specialist car website Automobile Propre. But recently, French Energy Minister Segolene Royal had a better idea for Tesla, the news agency AFP reported. She has suggested a site which is currently home to the country’s oldest nuclear reactor, Fessenheim, which will close at the end of the year.

“The main problem is the site’s transformation,” Royal said at a briefing, according to the news agency. “We need to give hope to this community. My idea is to bring a Tesla factory.” The minister said she directly suggested the idea to Musk himself and would see Tesla’s management in 10 days to discuss the idea. “I said to him: ‘I have a place for you, Fessenheim’. He didn’t say no,” Royal said. “Who dares, wins.”

Moving to another continent, Tesla is also relying on the Chinese market to boost demand for its electric cars and plans to find a local production partner to share production capacity that would help the automaker avoid import tariffs of at least 25 percent.

Via Reuters